The information in this article comes fromTwitter, Posted by Larry Cermak
Odaily Translator |
Odaily Translator |
1. Binance July 12AnnounceAnnounce
, the Binance team will add its 80 million BNB (40% of the total supply, or about $2.5 billion) to its quarterly BNB burning plan. BNB subsequently rose by 10%. But this does not change anything to the supply plan, as the final supply will remain unchanged at 100 million BNB;
2. Binance will burn 20% of the profits every quarter until 100 million BNB are burned. So far, Binance has burned 12.5 million BNB in the past two years, which means it needs to burn another 87.5 million BNB;
3. Based on this burning operation, it can be seen that Binance generated a profit of US$119.2 million in the second quarter of 2019; an increase of 53% compared to the first quarter. In the two years since its establishment, Binance has generated more than $850 million in profits;
(It should be pointed out that Cermak recently made a forecast on the profitability of Binance, saying that in the first quarter of 2019, Binance made a profit of approximately $78 million. In less than two years since its establishment, the exchange has earned a total of $733 million; Binance’s second-quarter net profit is likely to exceed $100 million, or even as high as $150 million.)
4. The most common misconception is that Binance burns by buying back BNB in the open market, which is not the case. The BNB burned by Binance comes from the majority of transaction fees paid in BNB (due to transaction fee discounts);
5. Therefore, Binance will no longer burn BNB from transaction fee revenue, but from the team reserve. Now, considering that the team never sold any of the BNB received from the companys option program, practically nothing has changed;
7. I strongly believe that (Binance) made this change out of regulatory compliance considerations. Binance removed any mention of burning 20% of profits from its whitepaper and website. on July 11thannouncementannouncement
In, Binance said: “We will still burn BNB based on transaction volume” — not profit;
9. Under regulatory pressure, Binance a few weeks agoAnnounceAnnounce
Will be closed to all U.S. customers. At the same time, it will launch a separate U.S.-based exchange, Binance US. Im almost sure that Binance is working on listing BNB on Binance US, which is one of the potentially positive changes;10. As the old saying goes, dont just read the announcements and the hype, think deeply. Few people know enough about whats going on with BNB, and theres a lot of glaring misinformation. Even the generally acclaimed Multicoin (blockchain investment institution Multicoin Capital)’s report on BNBtheory
